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Staff. The total number of officers on the staff on the 31st March was as under :—- -31st March, 1903. Postmaster-General ... .. ... ... ... ... 1 Classified staff:— First Division ... ... ... ... ... ... ... 3 Clerical Division ... ... ... ... ... ... 1,217 Non-clerical Division ... ... ... ... ... ... 677 Distributors and messengers ... ... ... ... ... 503 Total, classified staff ... ... ... ... ... 2,401 Employees not on permanent staff: — Country Postmasters and Postmistresses ... ... ... ... 1,656 Nightwatchmen ... ... ... ... ... ... 3 Mail-cart drivers .. ... ... ... 4 Postmasters and telegraphists or telephonists who are Eailway officers 151 Total... .. ... ... ... ... ... 4,215 Comparative Beturn of Officers of the Post and Telegraph Department for the Years ended 31st March, 1902, and 31st March, 1903. Mar. 31, Mar. 31, Mar. 31, Mar. 31, 1902. 1903. 1902. 1903. Postmaster-General .. .. .. 1 1 Brought forward .. .. 122 128 Secretary .. .. .. .. 1 1 Chief Postmasters .. .. 17 17 Superintendent of Electric Lines .. 1 1 Postmasters and Officers in Charge on Assistant Secretary and Inspector .. 1 1 permanent staff .. .. .. 11l 112 Controller of Money-orders and Savings- Clerks (including Telephone Exchanges banks and Accountant .. .. 1 1 cadettes and cadets in post-offices) I. ..,,- . „_. Chief Clerk .. .. .. .. 1 1 Operators (including cadets in telegraph-1 ' Assistant Controller of Money-orders and offices) > Savings-banks and Accountant .. 1 1 Post Office Sorters .. .. .. — 10 Clerks in General Post Office — , Letter-carriers .. .. .. 234 230 Secretary's Office .. .. 18 18 Messengers (Post Office) .. 49 58 Inspector's and Dead-letter Branch .. 7 7 Linemen .. .. .. 70 69 Controller of Money-orders and Savings- Telegraph distributors and message boys.. 468 503 banks and Accountant's Branch .. 66 69 Nightwatchmen .. .. .. 3 3 Storekeeper and assistants .. .. 7 10 Mail-cart drivers .. .. .. 4 - 4 Electrician .. .. .. .. 1 1 Postmasters and telegraphists or teleAssistant Electrician .. .. .. 2 1 phonists who are Railway officers .. 144 151 Mechanicians and cadets .. .. 7 6 Country Postmasters, Postmistresses, and Telegraph Inspectors .. .. .. 4 5 telephonists.. .. .. .. 1,601 1,656 Assistant Inspectors of Post-offices .. 3 4 — — Totals .. .. .. 3,990 4,215 Carried forward .. .. 122 128 The staff is efficient, and the conduct of its members continues satisfactory. Grave offences have been practically unknown, and minor errors and irregularities have been comparatively few, which is to the credit of the employees as a whole. A partial reorganization of the postal staff became necessary, owing to the growing importance of many of the offices and the growth of work generally. An increase in the number of supervising officers has resulted; and, while not overlooking the interchange of duties among the rank and file, it has been found necessary to place branches under officers of a higher rank than heretofore. The condition of many of the controlling officers of the telegraph branch has also been improved. This not only opens out an additional prospect of promotion, but will make for increased efficiency as well. " The Post and Telegraph Department Act, 1902 " (referred to in last year's report as an amending Classification Bill), became law on the Ist October last. It provides an amelioration of the pay of many of the lower grades of the non-clerical division, as may be gathered from the following : — Letter-carriers, first grade, and telegraph linemen: Minimum salary increased from £130 to £135 per annum, and maximum salary from £140 to £150. Letter-carriers, second grade : Minimum salary increased from £95 to £105, and maximum from £120 to £125. Letter-carriers, third grade : Minimum salary increased from £50 to £60, and maximum from £85 to £100. Post-office messengers, first grade : Minimum salary increased from £85 to £105, maximum from £120 to £140. Post-office messengers, second grade : Minimum salary increased from £50 to £60, maximum from £80 to £95. In the assistant counter-clerks' class the annual increments have been altered from two of £10 and six of £5 to five of £10. In the assistant despatch-clerks' class, from two of £10 and ten of £5 to seven of £10 ; in the distributors' class, from one of £10 and four of £5 to three of £10. Assistant counter-clerks now reach the maximum pay in five instead of eight years ; assistant despatch-clerks, in seven instead of twelve years ; distributors, in three instead of five years. A new class of sorters is also provided, mainly with a view to the transfer of non-clerical officers, such as letter-carriers, not educationally or otherwise qualified for higher positions in the clerical division, to the mail-sorting branches of the principal offices. At the same time there is

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